At Douglas the bankers are failing once more | EUROtoday

EIt wasn't in real jubilation. When the primary worth was introduced on Thursday on the inventory market debut of the cosmetics chain Douglas, the staff dutifully clapped. Some rang their bells, which had been distributed on the entrance. But exuberant celebration appears totally different.

No surprise. The difficulty worth of the share was already on the decrease finish of the worth vary at 26 euros. And but it fell to 25.50 euros after the beginning of buying and selling, and over the course of the day it was quickly down 14 %. And that even if the DAX rose considerably on the identical day. It's not likely stunning that the IPO was a flop. There have been rumors within the monetary business for a while that Douglas was uninteresting for buyers. Ultimately, the corporate solely makes use of the cash collected to scale back debt.

This textual content comes from the Frankfurter Allgemeine Sonntagszeitung.

However, this alone can not clarify the distress. Douglas selected the worth vary himself, and an enormous staff of extremely paid funding bankers supplied recommendation. And but the worth was too excessive. The specialists concerned miscalculated.

This is just not the primary time that bankers have been overly optimistic. When Birkenstock went public within the fall, the worth additionally fell sharply. And when the Renk arms firm tried to enter the market, the undertaking was canceled the night time earlier than and postponed for a number of months.

Such fake pas might be averted. Those accountable have to be higher at assessing the setting on the inventory market. Although share costs usually recuperate, issues can nonetheless search for for Douglas too. But the harm to the corporate's picture has lengthy been there; the images of disenchanted faces are all over the place. Investors gained't quickly neglect the flop.